Bitcoin’s price fell sharply to $75,500 on January 31, marking a weekly decline of nearly 13% and triggering over $650 million in liquidations within an hour. Despite the sell-off, historical chart patterns suggest similar pullbacks have occurred during previous bull cycles without ending the broader uptrend. On-chain data indicates large investors, or whales, have been net buyers during the decline, accumulating over $1 billion in Bitcoin across major exchanges.
Bitcoin faced intense selling pressure, slipping below a major support level to $75,500. This move contributed to a weekly decline of nearly 13% from recent highs around $90,000.
The sharp drop triggered significant market liquidations. Data from Coinglass indicated $650 million was liquidated in a single hour.
Analyst Rekt Capital noted the decline followed a known technical indicator. “In previous cycles, a fall occurred after a bull market EMA crossover,” they stated.
Historical data shows such actions did not mark the end of prior uptrends. They often served as a cooling-down period before prices continued higher.
The long-term weekly chart structure remains intact, forming higher highs and higher lows. Historical data from 2015 to 2021 shows prices often fall back to key moving averages during strong bull markets.
While retail investors sold, large holders appeared to accumulate. An observer noted that “whales are currently net buying a huge amount.”
Whale wallets on Binance Futures purchased approximately $608 million of BTC in a ten-hour period. Whales on OKX bought an additional $440 million during the same timeframe.
